Development Trends in Digital Transformation of Uzbekistan's Banking System and the Role of Banks with Foreign Capital Participation (Academic Journal of Digital Economics and Stability)

Summary

• The article examines digital transformation trends in Uzbekistan's banking system and the role of banks with foreign capital participation.p.1
• Foreign capital participation does not automatically ensure a high level of international digital integration.p.2
• The third trend is the integration of banking information systems, ensuring transactions are performed quickly and consistently.p.3
• The fourth trend is the strengthening of digital security mechanisms as electronic financial services expand.p.3
• The fifth trend is the growing need to adapt to international digital infrastructure for trade, remittances and cross-border transactions.p.3
• The role of foreign capital is presented as a conclusion of institutional analysis, not as an empirically established causal effect.p.4

Key insights

1. Banks with foreign capital may support adoption of international digital solutions, digital competencies and cross-border payment integration.p.1
2. Technological compatibility, information security, qualified personnel and effective institutional mechanisms are also required.p.2
3. Foreign ownership should be treated as a factor requiring empirical evaluation rather than a guarantee of technological progress.p.2
4. Cooperation with international banking groups may facilitate adoption of modern digital platforms.p.3
5. Digital transformation and international digital integration are mutually reinforcing processes.p.4
6. Assessing the effectiveness of the mechanisms requires multi-year bank-level data.p.4